You need to get involved with what is going in DWEP before we make the news papers. Financial stewardship is important but not at the risk of a fatality or environmental spill. The leadership changes are not good.
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LoL shitt is a mess here.
Since we got a new GM it is really bad. The word Bully comes to mind and there is no direction. Too much confusion. DWEP has lost its way.
I agree. They put higher level managers over work they have no experience in...ever. Critical work. Then don't listen and in fact antagonize their team. Which creates fear, apathy and finally Chevron.
JSM was very successful. The exception rather than the rule.
DWEP is the greatest organization in all of Chevron. If you don't believe it, just ask them.
GOMBU knows all about leadership that hasnt drilled wells. And it shows. Leaders are chosen for their perceived "Chevron Way" behaviors not their technical , or even managerial, skills. Leaders are rewarded for their behaviors more than their financial performance. There are some exceptions but they are few and far between. Those who have survived the last two years know the Chevron Way is 99% lipservice.
I think the market rebalancing and the main force behind it is showing where the reserve replenishment may come from. And no it is not DW or the Saudis. Yes "impact-scale" ( CVX jargon alert!) discoveries in DW may provide the needed volume but in field after field, we observe compartmentalization thats limits our ability to extract the resource without more costly wells that pressure profitability. The cost of drilling at our shop is out of control too. We may end up being the safest company to go out of business. Moreover, impact-scale prospects dont steadily ride up the maturation ramp, one after the other and turn into economically compelling discoveries. Some come in and some dont. The ones that do, often do not meet expectations. Sure the probability-based risking takes that into account, but it doesnt control the frequency of landing the big fish. Our business model of only-pursuing impact-scale prospects may be flawed. The analogy with failed MCPs may be valid. We are approaching a time when we cannot replenish reserves in the face of budget cutbacks. Exxon is aleady knocking on that door. Shale oil producers are testing the mettle of our largess.
What gets my ass is the people in DWEP who have been placed in leadership that has never been offshore. They are clueless in what works and what doesn't. It is a game of pretense. One shouldn't be in leadership if they don't have the actual experience that comes from working the job.
JSM was very successful DWEP project
Is the situation that they are,putting in leaders that have zero experience in that function. They use tremendous leadership skills or high potential and he was a Geophysicist....fill in the blank....and now is in charge of well control and the guy knows as much about a BOP as the mailman. Chevron is king of this...
DWEP can no longer compete. Too slow and can't control cost nor come in on time. Similar to our other MCP's.
DWEP is the only place that a company the size of chevron can get the reserve replacements that are required for our stock price not to plummet. Steve never said anything about DWEP being uneconomical only Dave did. Dave is trying to get DWEP to lower the price so we are economical and do not loose money for chevron. He is right many of the deep water projects are marginal but they are not money looser in general. Even BSM would have made money chevron just did not have the capital to pursue it
If oil price stays in the 30s for a few years as some suggest, the real challenge may be to even justify our existence. DW projects projects simply arent economical at that price. With an existing queue of prospects, one questions even the need for DWEP in our current form. ELT has already imposed a 25% exploration cut and it seems likely more is to come if the price pressure continues. On a list of potential detriments, job safety may trump operational safety, in terms of things we should be worrying about. Planning for the shutdown of GOMBU is already underway - deepwater included. Price environment will dictate how quickly this will happen.
I agree. There are too many crazy ideas going on. DWEP is unstable. People are scared to say anything.